Feel Real Exam 2- NISM-Series-V-A: Mutual Fund Distributors Certification

Table of Contents

0%
0 votes, 0 avg
0

NISM-Series-V-A: Mutual Fund Distributors Certification

Feel Real Exam 2- NISM-Series-V-A: Mutual Fund Distributors Certification

The number of attempts remaining is 10

1 / 100

1. As per SEBI’s mandate, AMCs has to put in place a due diligence process to regulate distributors. Which of these mutual fund distributors would NOT be subjected to the due diligence process?

2 / 100

2. _______ is not a fair selling practice by a mutual fund distributor.

3 / 100

3. In India, the Mutual funds are constituted as ______ .

4 / 100

4. Which transaction of an open-ended fund is based on the Net Asset Value (NAV) pricing?

5 / 100

5. State True or False – The Thematic funds will always have a wider exposure than Sector funds.

6 / 100

6. To measure the fund managers’ performance, the difference between the scheme’s actual return and its optimal return is calculated, and this is known as _______.

7 / 100

7. Who issues a due diligence certificate stating compliance with all legal formalities at the time of making a new offer of mutual fund units?

8 / 100

8. When compared to Goal-based financial planning, Comprehensive financial planning requires more time commitment – State True or False?

9 / 100

9. What is Indexation?

10 / 100

10. When a dividend is paid, the NAV of the units ______ to that extent.

11 / 100

11. The mechanism used to ensure that the cutoff timing is strictly followed is called _________.

12 / 100

12. Which of the following is an important aspect of an OFFER DOCUMENT?

13 / 100

13. A person gets sudden wealth by winning a big lottery. Which of the below options is NOT advisable for him?

14 / 100

14. Which one is the Self-Regulatory Organization (SRO) for the mutual fund industry?

15 / 100

15. Short term capital loss from an investment can be set off against _____ .

16 / 100

16. Mr. Sandesh invests Rs. 75 lakhs in a Gilt Fund and gives a local cheque at 3.30 pm. What will be the applicable NAV for the allotment of units?

17 / 100

17. The distributors are mainly compensated through _______ by the mutual funds.

18 / 100

18. Which of these documents is not required to be submitted for investing in mutual funds by a charitable organization?

19 / 100

19. By investing in mutual funds, an investor uses the services of _______.

20 / 100

20. Condensed financial information for schemes launched in the last 3 financial years is mentioned in the ______________.

21 / 100

21. Among these funds, which will have the lowest Interest Rate Risk?

22 / 100

22. The interim changes in a mutual fund scheme are updated to the investors through ___________.

23 / 100

23. If there is a breach of the Code of Conduct by an intermediary and a second violation by the intermediary is proved, then the registration of the intermediary is _______.

24 / 100

24. In which of the following cases is the transaction charge to be paid to the mutual fund distributor, deducted from the gross investment of the investor?

25 / 100

25. What is the investment range for the mutual fund house to invest in debt instruments for a Balanced Hybrid Fund?

26 / 100

26. Decisions in Tactical Asset Allocation are taken on the basis of _____ .

27 / 100

27. Mr. A has a small business and will generally need more allocation to liquid funds than Mr. B, who is a senior manager with a multinational company. – State True or False?

28 / 100

28. Which of these funds has the highest risk?

29 / 100

29. ______ forms the basis of appointment of a distributor by an AMC.

30 / 100

30. ________ is the risk of mis-pricing or improper valuation of derivatives.

31 / 100

31. When the interest rates are rising, the bond funds which have short average maturity are more likely to outperform – State True or False?

32 / 100

32. What is the investment range in equity instruments for a Conservative hybrid fund?

33 / 100

33. An ongoing bond fund will lose value when the interest rates in the market ______ .

34 / 100

34. What does ‘Asset Allocation’ mean?

35 / 100

35. When should an investor adopt a strategy of limiting equity exposure to index funds?

36 / 100

36. The Securities Transaction Tax levied on the re-purchase of units of debt mutual funds is _______.

37 / 100

37. Mr. Anand has Rs. 5 lakhs to invest but he may need money in the short term. In which of these funds should he NOT invest?

38 / 100

38. Identify the true statement(s) with respect to SchemePerformance Disclosures? A) The data related to fund performance of all mutual funds is available on the AMFI website B) SEBI has mandated disclosure of performance data by all the AMCs.

39 / 100

39. What is fixed in a Closed-end fund?

40 / 100

40. If a Segregated portfolio is created, it shall be effective from _________.

41 / 100

41. In which of these funds is Securities Transaction Tax (STT) not charged?

42 / 100

42. What is the time duration in which SEBI has to approve the scheme-related documents?

43 / 100

43. An investor gives a local cheque of Rs 3 crore for investment in a Gilt scheme at 11.30 am. What would be the applicable NAV for this investment?

44 / 100

44. An International Fund is investing in US stocks. What would be the impact on it if the US Dollar depreciates against the Indian Rupee?

45 / 100

45. Tactical Asset Allocation is suitable only for seasoned investors operating with large investible surpluses – State True or False?

46 / 100

46. Which information has to be provided by a normal investor to be identified as an existing investor in the mutual fund?

47 / 100

47. In which type of fund is the risk of investor not selecting the correct sector maximum?

48 / 100

48. Which of the statements is true with respect to the applicability of TDS in the case of capital gains from mutual fund units?

49 / 100

49. Information under Foreign Account Tax Compliance Act (FATCA) is to be provided ______ .

50 / 100

50. Mutual funds today are benchmarked to the Total Return variant of an Index (TRI) and not to Price Return variant of an Index (PRI). What is the advantage of TRI over PRI?

A) It ensures that the performance comparison is fair B) Increases transparency

51 / 100

51. How often does a mutual fund disclose the information on the Total Expense Ratio charged to a mutual fund scheme and where is this published?

52 / 100

52. Which is the first step that a mutual fund distributor should take in building a mutual fund portfolio for his investors?

53 / 100

53. The difference between the yield on Gilt and the yield on a non-Government Debt security is called its ______ .

54 / 100

54. Which of these funds are suitable for investors who have a long-term investment horizon and are looking for growth?

55 / 100

55. At which price can a Close-Ended fund be sold?

56 / 100

56. To become a mutual fund distributor in India, one has to pass an exam which is conducted by ______.

57 / 100

57. For which of the following fund can NSE’s MIBOR be used as a benchmark?

58 / 100

58. One of the objectives of _______ is to undertake a nationwide investor awareness programme to promote proper understanding of the concept and working of mutual funds.

59 / 100

59. Which of these is NOT included in the Key Information Memorandum (KIM)?

60 / 100

60. In case of a securitized asset, _______ will not be an originator to a Special Purpose Vehicle (SPV)?

61 / 100

61. As per SEBI rules, commissions cannot be paid to ______.

62 / 100

62. A fundamental analyst will study the Candle-Stick charts and also the financial statement of a company. State whether True or False?

63 / 100

63. A mutual fund manager is planning to invest in Indian pharma companies as these companies are setting up new manufacturing capacities. Identify the investment style of the fund manager.

64 / 100

64. At what price can investors buy or sell units of an open-ended fund after the New Fund Offer?

65 / 100

65. Investors in India are usually highly organized in managing their financial transactions and taking decisions related to Financial Planning – State True or False?

66 / 100

66. Which document has the statutory information about the mutual fund or AMC, that is offering the scheme?

67 / 100

67. When a Mutual fund scheme makes profits or losses, these profits and losses belong to _______ .

68 / 100

68. The stock exchanges which provide mutual fund trading facilities also have to provide for settlement guarantee – State True or False?

69 / 100

69. The AMFI Code of Ethics (ACE) sets out ________ .

70 / 100

70. Can the fundamental attributes of a scheme be changed? If yes – how?

71 / 100

71. When is the Statement of Additional Information (SAI) updated?

72 / 100

72. The NFO price of a mutual fund scheme was Rs. 10, and its current Net Asset Value (NAV) is Rs. 8. What would happen if the transactions were to happen at the NFO price?

73 / 100

73. When the capital base of an investor rises, his or her risk appetite will tend to ______.

74 / 100

74. What does financial goal setting involve?

75 / 100

75. An existing bond fund will tend to lose value when market interest rates _______ .

76 / 100

76. Can an investor transact directly through the websites of some mutual fund companies?

77 / 100

77. On which of the following factors does returns from an international fund depend on?

78 / 100

78. When compared to open-ended funds, investors in close-ended funds face a higher level of _______ .

79 / 100

79. What is the investment objective of a mutual fund that seeks to grow in value over a period of time?

80 / 100

80. The NAV of a mutual fund unit changes every day due to changes in _______.

81 / 100

81. An investor already has a folio in a mutual fund scheme where he is a joint holder. Now he wants to do additional investments in the same scheme as a sole holder. How can he make the change?

82 / 100

82. Which type of Hybrid Fund has the least exposure to equity?

83 / 100

83. Which of the below investors will require the approval of board before investing in mutual funds?

84 / 100

84. When is the Scheme Information Document (SID) updated?

85 / 100

85. Which of the following has the highest credit risk?

86 / 100

86. The auditor appointed to audit the scheme accounts is the same as the auditor of the AMC accounts – State True or False?

87 / 100

87. Who has the responsibility of overseeing legal compliance in a mutual fund?

88 / 100

88. State True or False – Gilt schemes have more risks than liquid schemes as their NAV fluctuates more due to changes in the yield market.

89 / 100

89. Identify the TRUE statement with respect to the benchmark for Gold ETFs.

90 / 100

90. The Offer Document will NOT give any information on ________.

91 / 100

91. Where is the information regarding investor service centers, minimum investment amount, and how to make the purchases of mutual fund mentioned?

92 / 100

92. Ina mutual fund application form, if ‘Direct’ is mentioned in the space provided for ARN and the choice of a regular plan is indicated, then the application will be considered as ______ .

93 / 100

93. From which of these can the mutual fund NOT distribute dividends?

94 / 100

94. Suresh sees that his friends are investing in a finance scheme which is promising very high returns (a Ponzi scheme). He also blindly invests in the same scheme. Which bias is Suresh exhibiting?

95 / 100

95. Which investor need not provide a PAN card at the time of making a mutual fund investment?

96 / 100

96. Usually, active funds give higher returns as investors bear a higher fund management expense – State True or False?

97 / 100

97. In case a fund manager is managing more than six funds, then ______ in all performance-related advertisements.

98 / 100

98. In a Corporate Bond fund, the minimum investment in highest rated corporate bonds is ______ percent of the total assets.

99 / 100

99. A mutual fund scheme can invest _______ in the equity instruments of a company.

100 / 100

100. If a third-party payment is to be made for subscribing to a mutual fund scheme, then which of the following is essentially required?

Your score is

The average score is 0%

0%